Monthly Archive: September 2019

That’s why it’s worth taking out a payday loan – the 5 most common pitfalls

Demand for payday loans is high, with new disbursements increasing by 50 percent this year, exceeding home loan growth by more than 30 percent. However, there are several things to keep in mind when applying, or borrowing can be frustrating in the future. RotateBank collected the five pitfalls that most often made life difficult for borrowers this year.

The retail credit market, including mortgage loans and payday loans, played a key role this year. For the former, the amount of new contracts reached $ 720 billion in the first 10 months of the year, representing an annual increase of 35 percent. payday loans grew at an even faster pace of 50 percent, equivalent to a new placement of $ 383 billion. RotateBank has helped thousands of borrowers with borrowing this year, and based on these, they have compiled the five key points that they need to consider in order to avoid future problems.

How much is needed?

How much is needed?

It is often the case that borrowers do not take into account the additional costs, thus underestimating the loan amount. For example, renovation after a home purchase doesn’t always have the money left. As you may, renovation costs increase as you work. There was also an example where someone repaid the purchase price of the apartment from a payday loan but did not calculate the tax.

How much can you fit in?

How much can you fit in?

Before applying for a loan, it’s a good idea to balance your monthly income and expenses. In addition, unexpected costs must be taken into account and the amount of the loan and the monthly repayment determined. That is, so that in case of extra issuance it is not a problem to repay the loan. Eric Tucson, a loan expert at RotateBank mentioned that there is already a legal limit that up to 50 per cent of net income, 60 per cent of monthly income of 400 thousand forints can go for loan repayment, but it is not a good solution it is better to pull the ceiling.

One offer is not enough!

One offer is not enough!

According to RotateBank, relatively many people are already jumping to the first offer or the construction offered by their own bank, although in most cases there are more favorable offers. In particular, because of the demand for payday loans, competition between banks is intensifying, so that more favorable arrangements may come from day to day. For example, RotateBank calculates that, in mid-December, the most favorable one-year 1.5 million $ fixed-term payday loans remain below $ 30,000 a month, while the most expensive ones can have a monthly account of more than $ 40,000.

Key terms

Banks may impose different conditions for taking out the best deals mentioned, that is, for payday loans with the lowest installment. Many do not look at when to get the best interest. For example, the lowest interest rate is only given for higher amounts of regular income. In practice, this means that if you do not qualify for an income credit after borrowing, even though the payday loan is a fixed repayment, the installment may still increase. It was also an example that stakeholders were not careful when applying for a purchase credit, and it was only later that a 0 percent loan was found to have a shorter maturity. It also happened that the product was paid for with a very high-interest credit card, not a much cheaper payday loan. This made the product much more expensive.

Loans should not be indebted unless necessary and unnecessarily

Loans should not be indebted unless necessary and unnecessarily

Interest rates and installments on payday loans have declined significantly over previous years, and there are tempting offers on the market, but it is only worth reaching for a specific goal. For example, home renovation, which is a value-creating investment, means a quality improvement for many years to come, as well as spending due to increased demand for renovated homes. Just like buying a car can be a stepping stone to a more modern, more economical model. Conversely, spending hundreds of thousands or millions on a Christmas gift or travel payday loan can easily go wrong, because on the one hand, the enjoyment that we create quickly goes away and the installments can be paid for years to come. On the other hand, if we are already financing these expenses through loans, they may not necessarily have access to the family budget. In this case, it is worth thinking ahead, saving money and surprising your loved ones or ourselves with a bigger edition just next Christmas.

According to RotateBank experts, loan applicants are becoming more and more aware, as evidenced, for example, by the fact that new retail loans now play a major role in fixed repayment plans for several years. They provide a predictable expense for a given household and do not involve the risk of a possible increase in interest rates. Eric Tucson said that in the next period, the payday loans market could remain vigorous, where fixed repayment schemes could become even more popular.

Interest on private loans

Because of this, an alternative must be sought, in cases like this Credither capital is the ideal way to access loans in individuals circumstances in which it is difficult to achieve it through conventional banking. Our Credither lender grants loans to those that find themselves in special circumstances, such as unemployment or becoming on a list of delinquents like financial credit institutions.

Interest on Credither loans

Interest on private loans

The passions of the particular loans that people offer in our company are extremely competitive, especially if they are compared to other companies that are dedicated to provide the same services we can notice that they really are interests that are within their right measure.

These interests of our Credither loans are between 10% or 15% per year and must also clarify that they can become paid in very comfy terms, since we consistently try to allow the user to pay for the fees in the many flexible way for the. Therefore it is possible to make payments quarterly, semi-annually, monthly or even yearly.

Advantages of Credither Credit loans

Advantages of Private Credit loans

These types of credits that we offer within our company have a series of benefits that make them a much better option than those they can offer via traditional banking, the benefits are as follows. In concept, liquidity can be obtained very quickly, in under 72 hours the client may use his cash.

This is a matter of utmost importance given that users of Credither financial loans often resort to this program because they need to cover substantial expenses that are usually introduced suddenly, obtaining cash or even liquidity in a very short time is definitely an urgent matter.

Property guarantee

To grant our Credither capital loans we just ask the user for the assure of a property that can be of the real estate type or associated with any kind, which means that it is possible to guarantee the loan with an object that has the necessary value for this, we put the case of a vehicle, art collections, real estate, etc . The only exception at this point is jewelry.

The limit of these monetary amounts is set by twenty percent of the value of the ensure presented by the client, when the user needs a small amount of cash, we indicate that we may grant loans from the preliminary 3000 euros.

Car loan

Addititionally there is another interesting alternative just for clients who do not have property or any other possession that will apparently does not have the necessary worth to guarantee their credit; all of us refer to the loan for that car, in this case the client can promise his loan with his personal car, this vehicle is going to be assessed by our experts and subsequently he will end up being granted an amount that will range between 30% or 40% of the value he provides appraisal

For the aforementioned case, we emphasize that we can do exactly the same if it’s a motorcycle, truck, van, etc . In the case of real estate, they should meet an important requirement, haven’t any charges or mortgages of any kind so that floors, houses, premises, etc . may be valid. We exclude lots, plots or land from the group.

Experts in real estate and financial matters

Still another interesting advantage of our Credither equity loans is that as experts in property and financial matters, our professionals carry out feasibility analysis for clients, these studies are intended to verify that the financial operations could have the success expected by the client, in the case of the real estate we only need the straightforward note of the property of the property registry. This study is completely free for an individual and we will never charge you money for it.

The agreements are signed in the presence of a notary and also this confers greater legality and solidity to our operations, these notarial signatures can be made anywhere in the Spanish territory, so it is not necessary for the customer to have to travel from their place of habitual residence.

All this series of virtues that we have listed needs to conclude that the option of specific loan is adequate in addition to beneficial for those clients weltgesundheitsorganisation seek urgent liquidity, not really the interests of the variety of loans offered by our company usually are competitive in relation to other companies of those sector. We recommend that the customer contact our creditoparticular. es/ company and ask us every questions you may have.